The Taking of K-129: How the CIA Used Howard Hughes to Steal a Russian Sub in the Most Daring Covert Operation in History

by Josh Dean

“We need you to trust us that this is not Howard Hughes’s ship. It belongs to the United States government. Summa Corp does and should not owe any taxes to Los Angeles County.” As a result, no one was going to pay the 25 percent tax that a typical commercial ship owner would owe. If necessary, the government would pay the same 1 percent rate paid to San Mateo County, based on a rate granted to privately owned oceanographic vessels conducting scientific research. “But if it’s a government-owned ship, you don’t need to pay any taxes,” Watson replied. Kucera smiled. “I know. But it’s not a government-owned ship.” He held the silence after that statement a few seconds to let Watson absorb the subtext. “It’s a mining research vessel and its owners should pay their fair tax.”